Hindustan Unilever (HUVR IN) – Q2FY27 Result Update – Demand resilient, valuations factor in headwinds – Upgrade to ‘BUY’
Published on 28 Oct 2026
We expect double digit bottom-line growth in FY28/29 as HUL will move towards higher end of its margin guidance band of 22-24% after a correction in FY27. We estimate an EPS CAGR of 11.7% over FY27–29. We believe valuations at 30.8xFY29 and 2.5% dividend yield leave little room for incremental de-rating. We assign a PE-based target price of Rs2,268 (40xSept28 EPS versus Rs2,326 earlier based on DCF) and upgrade our rating to BUY.
